EFTA expects growth in trade and investment with Vietnam
VOV.VN - The four member states of the European Free Trade Association (EFTA)-Iceland, Liechtenstein, Norway, and Switzerland-expect the Free Trade Agreement (FTA) with Vietnam to expand market access, reduce trade costs, and establish a more stable, transparent framework for business and investment, according to UK-based Trade Finance Global.
Regarding market opening and trade benefits, EFTA countries expressed confidence that the agreement will gradually eliminate tariffs on nearly all current exports from the four nations to Vietnam, either immediately upon entry into force or within a maximum 16-year transition period.
Asdis Olafsdottir, Head of Communications at the EFTA Secretariat, stated that the agreement opens new opportunities across various sectors, ranging from seafood and machinery to watches and chocolates.
According to the Norwegian Government, approximately 50% of its exports will enjoy duty-free entry into Vietnam, a rate projected to exceed 98% within seven years. Conversely, Vietnamese exports to EFTA will also benefit from duty exemptions or tariff reductions.
On business facilitation, EFTA representatives noted that lower trade costs, simplified customs procedures, and enhanced transparency will particularly benefit small and medium-sized enterprises (SMEs), considered the backbone of the member economies. Covering goods, services, investment, intellectual property, sustainable development, and other areas, the agreement creates a predictable framework for trade and investment activities.
Bilateral trade volume between EFTA and Vietnam has expanded fivefold compared to a decade ago. EFTA exports to Vietnam, particularly electrical machinery and fish, have recorded substantial growth. Vietnam is the sixth ASEAN member state to sign an FTA with EFTA.
The agreement comes as the nation accelerates the diversification of its trade partners and supply chains amid global trade tensions and uncertainty. Additionally, the European Union (EU) elevated its relationship with Vietnam to a Comprehensive Strategic Partnership in January 2026 and seeks to enhance access to critical mineral resources from Vietnam.
Vietnam–EFTA deal opens access to advanced European manufacturing technologies
The Vietnam–European Free Trade Association (EFTA) Free Trade Agreement (VEFTA), signed on October 18, is expected to offer Vietnamese mechanical engineering and electronics businesses an opportunity to integrate more deeply into global high-tech supply chains, while gaining access to European manufacturing technology.
Vietnam–EFTA Free Trade Agreement targeted for implementation in 2027
Vietnamese Minister of Industry and Trade Le Manh Hung met with Swiss President Guy Parmelin, who is also Head of the Federal Department of Economic Affairs, Education and Research, in Hanoi on October 18 to discuss measures to bring Vietnam-EFTA FTA into force at an early date, and expand cooperation into new areas.
Vietnam–EFTA trade deal opens up new chapter in cooperation
Norwegian Ambassador Stein Iversen and Swiss Ambassador Thomas Gass have welcomed the free trade agreement signed in Hanoi on October 18 between Vietnam and the European Free Trade Association (EFTA), whose members are Switzerland, Norway, Iceland and Liechtenstein.
